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The Markets
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The Markets
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Leisure, gaming and gambling

Gym Group hunts for new CEO and slows expansion plans

The Gym Group PLC (LSE:GYM) is on the hunt for a new boss after announcing that Richard Darwin will step down following more than seven years leading the company as CEO and as CFO.

The news came as the low-cost gym operator updated investors on trading and said expansion plans would slow down in 2023, reflecting the current difficult macro-economic environment.

Year-end membership stood at 821,000, up 14.3% year-on-year as 28 new sites were opened, the highest level of new openings in a single year. But this level will slow to just 20 openings in 2023.

The group reported a 63.1% increase in full-year revenues to £172.9mln, taking it 12.9% higher than pre-Covid levels.

Average revenue per member per month for the year (ARPMM) was £17.82 with the ARPMM for the second half of the year of £18.30 up 4.8% on the first half of the year and up 4.5% on the second half of the prior year.

January membership acquisition has started in line with expectations with a similar profile of demand to previous early January trading periods, it said.

Shares dipped 3.8% in early exchanges to 121.93p.

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